公司理财(英文版)题库5

CHAPTER5InterestRateandBondValuationMultipleChoiceQuestionsI.DEFINITIONSCOUPONa1.Thestatedinterestpayment,indollars,madeonabondeachperiodiscalledthebond’s:a.coupon.b.facevalue.c.maturity.d.yieldtomaturity.e.couponrate.Difficultylevel:EasyFACEVALUEb2.Theprincipalamountofabondthatisrepaidattheendoftheloantermiscalledthebond’s:a.coupon.b.facevalue.c.maturity.d.yieldtomaturity.e.couponrate.Difficultylevel:EasyMATURITYc3.Thespecifieddateonwhichtheprincipalamountofabondisrepaidiscalledthebond’s:a.coupon.b.facevalue.c.maturity.d.yieldtomaturity.e.couponrate.Difficultylevel:EasyYIELDTOMATURITYd4.Therateofreturnrequiredbyinvestorsinthemarketforowningabondiscalledthe:a.coupon.b.facevalue.c.maturity.d.yieldtomaturity.e.couponrate.Difficultylevel:EasyCOUPONRATEe5.Theannualcouponofabonddividedbyitsfacevalueiscalledthebond’s:a.coupon.b.facevalue.c.maturity.d.yieldtomaturity.e.couponrate.Difficultylevel:EasyPARBONDSa6.Abondwithafacevalueof$1,000thatsellsfor$1,000inthemarketiscalleda_____bond.a.parvalueb.discountc.premiumd.zerocoupone.floatingrateDifficultylevel:EasyDISCOUNTBONDSb7.Abondwithafacevalueof$1,000thatsellsforlessthan$1,000inthemarketiscalleda_____bond.a.parb.discountc.premiumd.zerocoupone.floatingrateDifficultylevel:EasyPREMIUMBONDSc8.Abondwithafacevalueof$1,000thatsellsformorethan$1,000inthemarketiscalleda_____bond.a.parb.discountc.premiumd.zerocoupone.floatingrateDifficultylevel:EasyUNFUNDEDDEBTd9.Theunfundeddebtofafirmisgenerallyunderstoodtomeanthefirm’s:a.preferredstock.b.debtsthatmatureinmorethanoneyear.c.debentures.d.debtsthatmatureinlessthanoneyear.e.secureddebt.Difficultylevel:EasyINDENTUREa10.Thewritten,legallybindingagreementbetweenthecorporateborrowerandthelenderdetailingthetermsofabondissueiscalledthe:a.indenture.b.covenant.c.termsoftrade.d.form5140.e.callprovision.Difficultylevel:EasyREGISTEREDBONDSb11.Theformofbondissueinwhichtheregistrarofthecompanyrecordsownershipofeachbond,withrelevantpaymentsmadedirectlytotheownerofrecord,iscalledthe_____form.a.new-issueb.registeredc.bearerd.debenturee.collateralDifficultylevel:MediumBEARERBONDSc12.Theformofbondissueinwhichthebondisissuedwithoutrecordoftheowner’sname,withrelevantpaymentsmadedirectlytowhoeverphysicallyholdsthebond,iscalledthe_____form.a.new-issueb.registeredc.bearerd.debenturee.collateralDifficultylevel:EasyDEBENTURESe13.Theunsecureddebtsofafirmwithmaturitiesgreaterthan10yearsaremostliterallycalled:a.unfundedliabilities.b.sinkingfunds.c.bonds.d.notes.e.debentures.Difficultylevel:EasyNOTESd14.Theunsecureddebtsofafirmwithmaturitieslessthan10yearsaremostliterallycalled:a.unfundedliabilities.b.sinkingfunds.c.bonds.d.notes.e.debentures.Difficultylevel:EasySINKINGFUNDa15.Anaccountmanagedbythebondtrusteeforearlybondredemptionpaymentsiscalleda:a.sinkingfund.b.collateralpaymentaccount.c.deedintrustaccount.d.callprovision.e.parvaluefund.Difficultylevel:EasyCALLPROVISIONb16.Anagreementgivingthebondissuertheoptiontorepurchasethebondataspecifiedpricepriortomaturityisthe_____provision.a.sinkingfundb.callc.seniorityd.collaterale.trusteeDifficultylevel:EasyCALLPREMIUMc17.Theamountbywhichthecallpriceexceedsthebond’sparvalueisthe:a.couponrate.b.redemptionvalue.c.callpremium.d.original-issuediscount.e.callrate.Difficultylevel:EasySENIORITYe18.Intheeventofdefault,_____debtholdersmustgivepreferencetomore_____debtholdersinthepriorityofrepaymentdistributions.a.short-term;long-termb.long-term;short-termc.senior;juniord.senior;subordinatede.subordinated;seniorDifficultylevel:MediumDEFERREDCALLPROVISIONd19.Adeferredcallprovisionreferstothe:a.openmarketpriceofacallablebondonacertaindate.b.seniorityofcallablebondstononcallablebondsintheeventofcorporatedefault.c.prohibitionofacompanyfromeverredeemingcallablebonds.d.prohibitionofacompanyfromredeemingcallablebondspriortoacertaindate.e.amountbywhichthecallpriceforacallablebondexceedsitsparvalue.Difficultylevel:EasyTREASURYBONDSa20.Thelong-termbondsissuedbytheUnitedStatesgovernmentarecalled_____bonds.a.Treasuryb.municipalc.floating-rated.junke.zerocouponDifficultylevel:EasyMUNICIPALBONDSb21.Thelong-termbondsissuedbystateandlocalgovernmentsintheUnitedStatesarecalled_____bonds.a.Treasuryb.municipalc.floating-rated.junke.zerocouponDifficultylevel:EasyZEROCOUPONBONDSe22.Abondthatmakesnocouponpaymentsandisinitiallypricedatadeepdiscountiscalleda_____bond.a.Treasuryb.municipalc.floating-rated.junke.zerocouponDifficultylevel:EasyFLOATING-RATEBONDSc23.Abondthatpaysavariableamountofcouponinterestovertimeiscalleda_____bond.a.Treasuryb.municipalc.floating-rated.junke.zerocouponDifficultylevel:EasyPROTECTIVECOVENANTe24.Partsoftheindenturelimitingcertainactionsthatmightbetakenduringthetermoftheloantoprotecttheinterestsofthelenderarecalled:a.trusteerelationships.b.sinkingfundsprovisions.c.bondratings.d.deferredcallprovisions.e.protectivecovenants.Difficultylevel:EasyCONVERTIBLEBONDSd25.Abondwhich,attheelectionoftheholder,canbeswappedforafixednumberofsharesofcommonstockatanytimepriortothebond’smaturityiscalleda_____bond.a.zerocouponb.callable